Indian equities began November on a strong footing, extending the previous session’s gains despite mixed global cues and weakness in overseas technology stocks.
The benchmark Sensex rallied 1,233 points to a more than seven-week high on Monday, extending its gains for a third consecutive session. The Nifty rose 387.70 points, or 1.68%, to settle at 23,440.80, also its highest close in more than five weeks.
Indian equities began November on a strong footing, extending the previous session’s gains despite mixed global cues and weakness in overseas technology stocks. The Nifty opened with a sharp gap-up and maintained its upward momentum throughout the day, supported by strong buying in heavyweights, particularly Reliance Industries following its quarterly earnings. Strength in energy, auto, PSU banking and select FMCG stocks helped benchmark indices register solid gains, while IT stocks remained relatively subdued amid lingering concerns from global tech markets.
Market breadth improved as investors welcomed easing crude oil prices and positive domestic sentiment, though volatility remained elevated with India VIX inching higher. The Nifty decisively moved above key resistance zones, signalling renewed bullish momentum and improving market confidence. Option data suggests aggressive put writing at lower levels, indicating strong support, while call writers shifted higher, reflecting expectations of further upside. Going ahead, sustaining above these breakout levels will be crucial for the bulls, with investors closely tracking earnings announcements, institutional flows and global developments for fresh directional cues.
Overall the outlook remained very encouraging as the trends are showing promise that we are observing as the markets are once again indicating prospects of heading higher.